Tango Gameworks, the studio known for the hit game Hi-Fi Rush, has been acquired by Krafton following its closure by Microsoft in May 2023.

The acquisition is viewed positively, providing Tango Gameworks with renewed opportunities under Krafton's ownership, while its existing game catalog, including The Evil Within and Ghostwire: Tokyo, remains unaffected.

Krafton announced the acquisition on Monday morning in Seoul, coinciding with Sunday evening in North America, although the financial details of the deal have not been disclosed.

As part of the acquisition, Tango Gameworks retains the rights to Hi-Fi Rush but relinquishes other franchises like The Evil Within and Ghostwire: Tokyo to Microsoft.

Approximately 50 former staff members have been re-hired to continue developing Hi-Fi Rush and new projects, indicating a commitment to the studio's future.

Creative director John Johanas expressed excitement on social media, stating, 'We're back, baby!' following the acquisition news.

Despite the positive outcome for Tango Gameworks, the closure of other studios raises broader concerns about the viability of game studios in the current industry landscape.

Microsoft's decision to shut down Tango Gameworks has negatively impacted its management reputation, especially after a year marked by significant industry changes.

Hi-Fi Rush was well-received, attracting over two million players shortly after its surprise release, and has won several prestigious awards, further solidifying its success.

Krafton plans to collaborate with Microsoft to ensure the current team continues developing new content for Hi-Fi Rush, demonstrating a commitment to the game's future.

The gaming community has reacted positively to the news of Tango Gameworks' acquisition, relieved that the highly regarded developer will continue its operations.